A planned nationwide digital ID scheme for the U.K. will be shelved by incoming U.K. prime minister Andy Burnham, a spokesperson said on July 18.
Labour Prime Minister Keir Starmer, who steps down on July 20, announced the plan in September in a bid to curb illegal migration.
But the move faced strong opposition in a country that has long resisted identity cards.
"All the time and resource that was going to be spent on a national ID scheme will go instead to where it's most needed, such as helping with the cost of living," the spokesperson said.
Burnham, also Labour, takes over amid a prolonged cost of living crisis that has contributed to Starmer becoming one of the most unpopular prime ministers in decades.
His priority is set to be boosting the economy and improving living standards for voters who have despaired over soaring energy and food prices since the start of the Russia-Ukraine war.
Despite scrapping the digital ID scheme, his government would continue to crack down on illegal working, building on the progress made by Starmer, a statement added.
"Right to work checks would remain mandatory for all employers, and employers can already carry them out digitally," it said.
Starmer had pledged to introduce the ID card by 2029 and while it would not have been mandatory, it would have been required to prove the right to work.
His government later backtracked on making it obligatory for work.
The programme had been estimated to cost £1.8 billion over three years.